Company Formation in Jebel Ali Free Zone (JAFZA)

INTRODUCTION

Established in 1985, Jebel Ali Free Zone Authority (JAFZA) has risen to prominence since then. Company formation in Jebel Ali Free Zone has gotten its location more than 7,000 international companies that are expanding even more. From that figure, a good number of 100 Dubai free zone companies in JAFZA are Fortune Global 500 companies. Because of this, JAFZA contributes almost 32% of total flow of Foreign Direct Investment (FDI) into the United Arab Emirates (UAE).

Because of the huge range of what this free zone offers, investors who choose to have their business setup in JAFZA can be ensured that their company’s requirements are met with the warehouses, showrooms, offices, and on-site residences that are available for them to choose from.

JAFZA is sustaining its relationship with its clients by providing them with world-class service and facilities. By doing this, investors who go through Jebel Ali Free Zone company registration can efficiently capitalize on opportunities from the start. Also, business setup in Dubai free zones do not only benefit businessmen but also employees. There are over 135,000 jobs that are being sustained in JAFZA alone. It therefore says and helps a lot when company formation in Jebel Ali Free Zone is carried out.

There are three formation types that business owners can choose from when they decide to go through a JAFZA company registration. The formation types are as follows: Free Zone Company (FZCo), Free Zone Establishment (FZE), and Branch.

JAFZA company formation, like any other free zones, has its own set of procedures that should be followed by clients. When an investor finally decides to go through Jebel Ali Free Zone company registration, it should be noted that business consultancy services in Dubai are advised to be contacted. Most, if not all, Dubai freezone companies were established with the help of a consultant. This is because these people are willing and capable to give you the information that you need in your business setup in jebel ali freezone. When you are aware of the Dubai freezone company setup cost, you can easily plan ahead and be prepared with your financial side of things. It is also important that you are aware of Dubai free zone license cost to add to your more informative budgeting plan. In addition to that, the other advantage that you can obtain from this is that, besides having the opportunity to ask about JAFZA license cost, you can also inquire about other things, such as Jebel Ali Free Zone company setup cost. You can post your concerns about the documents required for trade license renewal in Dubai and JAFZA trade license renewal fees as well in the future when you are nearing to renewing it. Before you begin your journey with having a business setup company in Dubai, they will make sure that you are aware of all the information that you need about JAFZA regulations. The last and the most advantageous of this, of course, is that they are the people who will be responsible for handling your business setup in Dubai. Indeed, when you have the right business setup consultants in Dubai to manage your business setup in UAE free zones, you can expect for things to go smoothly.

BENEFITS

Business setup in UAE free zones is known as a normal venture by business owners that visit the UAE. Business formation in Dubai has been rising in JAFZA for more than two decades now. It’s continuously being a great help to the economy of UAE, as it invites more and more investors to have a free zone Jebel Ali company setup.

One of the advantages of this location is its Dubai free zone company formation cost since it is not as expensive as others. The list of Dubai free zone benefits that it offers for those who conduct JAFZA company set up are listed below:

100% foreign ownership

The common way of establishing a company in the UAE is to find a local sponsor who will have 51% of the shares of the business so that you can begin with the business formation in Dubai. On the other hand, however, free zone company setup means that you can have 100% ownership of your own business and a local sponsor is not needed.

Location

Companies in JAFZA Dubai are easily accessible via road since JAFZA is located on both sides of Sheikh Zayed Road. It is also accessible via Danube and UAE Exchange metro stations. JAFZA Traders’ Market is near to Sheikh Mohammed bin Zayed Road and this Dubai free zone authority itself is close to Expo 2020 site.

Tax exemption

Even if the value-added tax (VAT) on some goods and services has found its way to the territory of the UAE, companies in Jebel Ali Dubai are still seeing it an advantage that the fact that corporate and income taxes are still not required by the government to be paid. This is why business owners who are looking for free zone company registration Dubai will benefit from this kind of tax exemption.

There is a lot more, that businessmen who plan to conduct freezone company formation in JAFZA can benefit from doing this. The following additional advantages are listed below for you to see:

No restriction on capital repatriation

0% import or re-export duties

No currency restrictions

Onsite customs

No restriction on foreign talent or employees

Ability to mortgage your premises to a bank or financing company

BUSINESS ACTIVITIES

There is a lot of business activities that are allowed in this location for Dubai free zone company registration as long as they are not illegal and hazardous. The following is the list of the activities:

Trading

Agricultural, flowers and plants

Aircraft and train trading

Amusement equipment and supplies trading

Bags, packaging material and paper trading

Building materials trading

Service

Advertising

Transport, shipping and storage

Equipment, engines, machinery and repairs

Light aircraft maintenance

Motor vehicle repairs

Industrial

Blocks and building stones

Cotton, metal nets and rope manufacturing

Equipment, engines and machinery

Food

Garments, rugs, textiles, and products manufacturing

SUPPORT SERVICE

FAR Consulting Middle East is one of the leading firms with business setup services in Dubai. Our experience spans more than 30 years. We have been aiding businessmen with their dilemma in their business setup. In order to help investors to weigh things and plan ahead before they open a company in Dubai free zone, we give the needed information of the client, like Dubai free zone company registration fees and Dubai free zone license cost as well. We believe that having a good amount of right information can is essential before taking a step towards forming your company.

As business consultants in Dubai, we have a list of services that we are capable of providing when you let us work with you:

Applying and following up on behalf of the client until the collection of the Certificate of Business Registration (Trade License)

Representing the client in front of the authorities

Assisting the client in bank account opening

Assisting the client in account opening with the Ministry of Labour

Assisting the client in account opening with the UAE immigration

Assisting the client in leasing a premise as an address for the business

TIMELINE/PROCEDURE

After your application is approved, the authority will issue an initial approval for your business. The next will be as follows:

Choose a ready-fitted office space from JAFZA selection that has the most appropriate size and layout for your business requirements

Or decide whether you’ll require JAFZA-regulated contractors for fit-out service for your office or if you’ll be doing that independently

Then, once the office is finalized, the next steps are the following:

Lease agreement will be prepared

Office keys can be collected

After making the necessary selections regarding the office space, we will start the preparation of the legal documents.

When all the above is complete, your business license will then be issued along with the share capital certificate if the capital is paid in full.

The procedure of processing your business setup in JAFZA will range from 2 to 4 weeks.

REQUIREMENTS

Documents Required for JAFZA Company Registration

Application form (our firm’s task)

Letter of Intent (our firm’s task)

Your existing company brochure (if available)

Annual financial report or shareholder(s)’ 6-month bank statement for the shareholder not applicable for new registration

Copy of the manager’s passport and his CV

Copy of shareholder(s)’ passport and CV

Original (not a copy) bank reference letter (for each shareholder)

No Objection Letter by the current sponsor for the manager (if a resident of UAE and a UAE employment visa-holder)

Additional Documents Required for a Corporate Shareholder and for Branch

Attested and notarized Memorandum of Association/Article of Association—it must be attested from the UAE Embassy at the place of origin.

Board resolution to be resolute by the board of directors for your existing company/entity at the place of origin, expressing intent of establishing a new setup abroad—it must be attested and notarized by the UAE Embassy (template will be forwarded by our firm)

Certificate of registration (if applicable) for your existing company/entity, license, or certificate of incorporation of your existing company/entity attested and notarized by the UAE Embassy

When all the above is complete, your business license will then be issued along with the share capital certificate if the capital is paid in full.

The procedure of processing your business setup in JAFZA will range from 2 to 4 weeks.

FEES

JAFZA Company Setup Cost

The below table shows the estimated Dubai freezone company setup cost in JAFZA, which also includes JAFZA license cost. If need be, you can contact us for further clarification and information.

Jebel Ali Free Zone Company Setup Cost Table of Estimated Government Cost and Professional Fees

Trade License Option/Activity

Cost in USD

Cost in AED

Industrial License

USD 2,570

AED 9,375

Commercial License

Specific Trading

USD 2,570

AED 9,375

Oil & Gas

USD 3,425

AED 12,500

Real Estate

USD 5,135

AED 18,750

Aviation

USD 5,135

AED 18,750

General Trading License

USD 5,135

AED 18,750

Service License

Specific Services

USD 2,570

AED 9,375

Oil & Gas

USD 3,425

AED 12,500

Freight Forwarding

USD 2,910

AED 10,625

Real Estate

USD 5,135

AED 18,750

Aviation

USD 5,135

AED 18,750

Our Firm’s Professional Fees

USD 5,000

AED 18,365

ATTENTION – NOTE

All fees for government and related authorities are estimation only. The exact government fees will be determined at the time of submission of the applications. We are obligated to provide our clients with all receipts of government and related agencies against the amount that will be paid. Every amount that will expense for your business registration will be supported by documents. In case of shortage, the client has to repay us. In case of excess, we have to refund the client.

Our professional fee covers consultation, drafting of legal documents, introducing reliable local citizen service-agent when required, assisting in document notarization from the local notary public, assisting in local bank account opening, and applying to the concerned authorities on your behalf.

RELATED SERVICES

Besides our job of helping you with your company setup in JAFZA, we have more services that we can offer that can help you as you start your company: